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The first company affected by the FTX crisis became clear: Blockfi went out of business
Investing.com – Among the first companies to be hit by the collapse of an exchange is Blockify, the lender of cryptocurrencies.
In the statement released by Blockfi on Twitter, it was announced that the company has stopped withdrawing funds. In the statement it was reported that the company could not continue its activities due to the uncertainty of the state of FTX.
In July, Blockfi signed a deal with FTX.US that included a $400 million credit line, along with an option for parent company FTX to buy the company for $280 million.
In addition to this development, Blockfi announced that its US banking partner Silvergate has postponed the transfers it intended to make today until November 14th.
FTX.US has issued a warning that it may disrupt your transactions
In his apology statement released yesterday, the CEO of FTX said that there are no problems with the US branch of the FTX.US company and that all transactions are proceeding as normal. However, recent developments suggest that the crisis has also affected FTX.US, with the platform’s homepage stating that “Trading on FTX US may stop in a few days. Please close open positions. Withdrawals will remain open. C ‘ is a warning note that says “We will continue to update.”
Returning to Blockfi’s development, there are rumors in the initial comments after the company went out of business that Blockfi will keep all of its clients’ assets on the FTX platform. Additionally, it was reported, citing unidentified sources, that Blockfi has struck a deal with a consulting firm to handle a potential bankruptcy process.
Furthermore, the fact that FTX.US has opened a $400 million credit line to Blockfi is significant evidence that the US stock market is also experiencing a financial crisis.
By Jonay Kimes
